Ocean rates

on 15 October 2021

The global situation regarding shipping and movement of containers seems very critical at the moment.

Severe port congestion at Felixstowe, London Gateway, Southampton is/has caused severe delays in vessels entering and leaving the ports. The knock on effect is that vessels are not in port long enough to load empty containers for return to the Far East. The consequence if this is that there seems very little containers in Far East to accommodate shipments back to the UK and some ocean carriers are either refusing bookings to Felixstowe port OR refusing bookings because of lack of container equipment.

It has now become very much a supply & demand situation in that the exporter or importer prepared to pay the highest rate of freight will be offered bookings on a first come, first served basis as and when equipment becomes available. This week it has been announced that ocean rates will be charged anywhere between US$2800 – US$3200 for a 20’ container and anywhere between US$ 5500 to US$5900 for a 40’ container for new bookings offered this week and going forward AND on top of that, some ocean carriers are introducing a port congestion surcharge of US$350 per container.